Yes, it is getting close to the end of another tax year.
- People planning what to push through their accounts this month
- People having last minute surges to hit targets
- And people planning ahead for the year coming
Whatever your position is, the end of the tax year provides a great opportunity to compare your results against what you planned (fingers crossed you planned on a result rather than hoped!).
What do you check?
- Year on year, budget vs actual, your performance vs competitors
- Revenue, costs, profit
- Customer retention, new customers, life time customer value
- Staff retention, staff performance, staff happiness
- Assets value, balance sheet value, business value
Let us know in the comments what your favourite metrics to track are.
P.S. When it comes to preparing your tax return, here’s a few tips:
- Keep a record:
- It doesn’t take long but often forgotten, keep a track record of income and expenditure throughout the year as you go and it will save you time come January.
- If you do not want to spend out on software such as xero or quickbooks (£10-£30 per month – and essential if reporting on VAT), then keep a simple spreadsheet tracking income and expenses for your self-employed business (and employment if you are employed)
- Also keep track of charitable gift-aid donations, interest statements, pension contributions etc and keep any property income/expenditure separate
- Just do it:
- For a simple tax return it doesn’t take long
- You do not have to pay your tax liability as soon as you submit giving you plenty of time to plan to pay
- Feel less pressure! Around half of tax returns are submitted in the last month, not knowing their tax liability until then – don’t let this be you
- Make it simpler, use:
- A different bank account for only business transactions (paying yourself monthly)
- The HMRC app to help estimate your tax liability
- Evernote, a free app to keep notes and records of invoices and bills you collect (if you do not use bookkeeping software)